Battle over motor rates in Malaysia

Faced with stinging criticism of its move to raise premium rates on motor insurance, the General Insurance Association of Malaysia (PIAM) has come out with a new formula. It has said that premium rates will now be based on the risk exposure of each individual policyholder and his or her vehicle. Although the concept of pooling of risks will not be discarded entirely, those with better risk experience will be offered better rates and vice versa.